My thesis is, since we fell out of the pitchfork channel shown above, we've entered a new channel - this channel took us out of the descending triangle recently, but we haven't REALLY tested support of the pink downward log trend line.
I think these pitchfork setups are interesting, especially the first one which predicted the top of the parabolic run in 2017 - would have been pretty useful to have ahead of time.
What I like about this pitchfork setup is it really helps make sense of the recent price action, provides usable resistance and support levels, and gives a sense of which direction price might ultimately be heading in the short and mid-term.
According to the "rules" of pitchforks, since we failed to break out of the current pitchfork channel, we can expect to fall down on the white median line here now that we've turned around and are headed south. Other support levels could always intervene, however, so there are two potential price predictions for rebound location:
7.5k if we bounce from the pink downward trend line.
or 6.5 again if we fall to the white median line of the pitchfork channel.
Stay safe out there folks, protect your assets, and happy trading!
I think these pitchfork setups are interesting, especially the first one which predicted the top of the parabolic run in 2017 - would have been pretty useful to have ahead of time.
According to the "rules" of pitchforks, since we failed to break out of the current pitchfork channel, we can expect to fall down on the white median line here now that we've turned around and are headed south. Other support levels could always intervene, however, so there are two potential price predictions for rebound location:
7.5k if we bounce from the pink downward trend line.
or 6.5 again if we fall to the white median line of the pitchfork channel.
Stay safe out there folks, protect your assets, and happy trading!